June 11, 2020
Companies Cut Executive Pay in Changing COVID-19 Landscape
Throughout May, Farient has continued to keep a close eye on compensation trends, particularly as to what actions, if any, S&P 500 companies are taking in regard to their compensation plans as a result of COVID-19. In this brief, we update the overall trends and dive deeper into two examples of companies that have made decisions that are outside of the mainstream, MGM Resorts and Automatic Data Processing, Inc.
Read MoreMay 4, 2020
The Optics of Executive Pay in the Time of COVID -19
In mid-March, Farient began tracking companies making adjustments to their pay programs in response to the economic fallout of the virus.
Read MoreMay 4, 2020
How Resilient Is Your Sector’s TSR? Covid-19 and Its Impact on TSR
The spread of coronavirus in 2020 has resulted in the largest global catastrophe since the end of the Second World War. It also may be responsible for the largest economic collapse since the Great Depression. As the virus began to spread through Asia and parts of Europe in the first half of February, and the first death from coronavirus was discovered in the U.S., urgency in the U.S. remained low among government leaders at the federal level, despite the virus being labeled a “Public Health Emergency of International Concern” by the World Health Organization on January 30. As China and other parts of Asia implemented societal lockdowns, global supply chains were put on hold. When impending economic shutdowns became apparent and investor confidence evaporated, the global stock markets became increasingly more volatile and began to crash. The S&P 500 and the Dow Jones Industrial Average fell 12% and 13%, respectively, between February 18 and February 28.
Read MoreMay 21, 2019
Danger, Danger, No Cyber Ranger: Why Boards Need More Cyber Experts
The notification of a data/privacy breach from your company is never well received by stakeholders. After all, no one wants their social security number, healthcare and other private information available for public consumption. Yet, almost daily there is a headline story of personal data inadvertently exposed by employees or hacked by crooks, foreign governments, 15-year-old kids, etc. We’ve learned over the years that cyber intrusions can come from anywhere. Ask Sony Corporation, which experienced a devastating hack in 2014.
Read MoreApril 25, 2019
Environmental and Social Compensation Metrics: Walking the Talk?
In the final installment of this series, we examine E&S incentives. With all the talk of E&S issues, are compensation committees tying executives’ pay to improving the E&S profile of their organizations or just giving it lip service?
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